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2023-03-31-accounts

Company no. 04608163 Charity no. 1111055

Crossroads Care Gloucestershire Limited Report and Audited Financial Statements 31 March 2023

Crossroads Care Gloucestershire Limited

Reference and administrative details

For theyear ended 31 March 2023
Company number 04608163
Charity number 1111055
Registered office and 10 Sabre Close
operational address Quedgeley
Gloucester
Gloucestershire
GL2 4NZ
Trustees Trustees, who are also directors under company law, who served during
the year and up to the date of this report were as follows:
Nana Addae-Baah
Georgina Brown
Paul Holmes
Natalie Hyett
Elizabeth Keen
Peter Mitchener
Farai Nyadundu
Sheila Reynolds
Richard Wheatley
Secretary Helen Baker
Bankers Barclays Bank UK PLC CAF Bank Ltd
1 Churchill Place 25 Kings Hill Avenue
London Kings Hill
E14 5HP West Malling
Kent
ME19 4JQ
Auditors Godfrey Wilson Limited
Chartered accountants and statutory auditors
5th Floor Mariner House
62 Prince Street
Bristol
BS1 4QD

1

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

The trustees are pleased to present their annual directors’ report together with the audited financial statements of the charity for the year ending 31 March 2023. The trustees confirm the financial statements comply with the current statutory requirements, the requirements of the charity's governing document and Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Structure, governance and management

Name

The full name under which the charity is registered is Crossroads Care Gloucestershire Limited. Until 16 November 2020 the charity was registered under the name of Crossroads Care Central and East Gloucestershire Ltd. The decision to change the name was made to clarify the geographical area in which the charity operates.

Governing document

The charity is a company limited by guarantee and does not have share capital. It is established under a Memorandum of Association and is governed under its Articles of Association. The company is a Network Partner of the Carers Trust. The charity is registered with the Charity Commission under the provisions of the Charities Act 2011. The area of benefit is the county of Gloucestershire, Swindon and Wiltshire.

Organisational structure

The charity is governed by a board of trustees, who have been co-opted onto the board and are nonexecutive Directors of the charitable company. The board of trustees met at least bi-monthly to receive financial and operational reports. All trustees give their time freely. No trustee received remuneration or other benefit from their work with the charity in the year. Details of Directors' expenses and related party transactions are disclosed in note 7 to the financial statements. The Chair asks trustees to make any declaration of interest at the beginning of every meeting and also to complete an annual register of interests. The day-to-day management is formally delegated to the Chief Executive Officer.

Once the Board has identified the specific skills it requires, the vacancy is advertised using specialist help to reach a diverse field of potential applicants. Potential new trustees are invited first to meet with the Chair and Chief Executive. This enables them to meet key staff informally before they are then invited to observe a Board meeting. Before their appointment is confirmed by the Chair and Board, all required checks of identification and Disclosure and Barring Service have been completed.

The Board has experienced a period of stability following the recruitment of several new trustees the year before, so no new trustees have been appointed during this accounting period. However, the Board is mindful of the need to ensure that it reflects a suitable mix of experience and skills and this is recorded as a significant risk on the CCG Risk Register together with Risk Reduction Measures. Previous experience of seeking new trustees has resulted in an effective process of recruitment and induction.

The Board has appointed an Independent Governance Advisor (IGA) whose purpose is to support and strengthen the Board’s effectiveness and ability to deliver against the charitable objectives and provide independent and objective oversight and advice to improve the quality and consistency of trustee decision-making. The IGA attends alternate Board meetings as an observer and also facilitates two Strategy Days which trustees attend in addition the bi-monthly Board meetings.

2

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

During the Coronavirus pandemic Board meetings were held virtually. As a significant number of trustees work full time and may live some distance from the office, this practice has continued during 2022/23. This has resulted in very high attendance at Board meetings which has always been quorate. The exceptions to this were the Strategy Days when it was agreed that face-to-face gatherings for a day would enable space for in-depth discussions and develop the sense of cohesiveness across the Board.

The Board has continued to conduct much of its business through a number of sub-committees which report back at each Board meeting. Each sub-committee has a Lead but all trustees can move between and contribute to all of the committees, depending on their interests. The skills and experience of our trustees are such that this flexible approach has been of considerable benefit rather than working in silos.

The CEO is supported in the day-to-day management of the charity by the Senior Management Team (SMT). The SMT, which includes a new Registered Manager and Service Development Lead as well as the Finance Manager, has evolved into an effective team. It signals clear expectations and direction for all staff, highlights and shares exceptional performance, assists the CEO in budget monitoring and generally oversees the performance of the charity.

Pay policy

The pay for all employees of Crossroads Care Gloucestershire is reviewed annually by the board of trustees. The following pay principles are applied:

Recruiting and retaining our staff is crucial to the growth of our charity and the preservation of our reputation. All employers in the social care field are experiencing the same difficulties around recruiting and retaining staff, making the market very competitive, especially in the light of the significant cost of living increases.

It has been the practice of CCG to award an annual increase in April of each financial year. However, right from the beginning of the 22/23 financial year, the Board recognised that there may be a need for a further review of pay scales later in the year if we were to remain competitive. Following a review or our competitors pay scales, this did prove to be the case and a further increase in pay was awarded in November 2022.

We recognise that the rate of pay is an essential part of the contract we have with our employees, but also recognise that additional benefits can be a significant factor. To that end, not only have we offered a very competitive rate of pay, we have also compiled an extensive benefits package for all staff.

Strategic planning

The trustees are responsible for the strategic direction and governance of the charity. We produce a 3-year strategic plan, with the latest covering 2022 – 2025, and which contains key objectives with an accompanying budget. The strategic plan was developed in conjunction with feedback from carers and staff and has been worked on extensively by the Board of trustees and with the involvement of the SMT. In addition to the in-depth document, we also produced a single page summary which made our strategy more accessible to more people.

3

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

Year One of the Strategy was reviewed in April 2023 to review progress regarding the priority actions we had set ourselves and we were able to record that all actions had been achieved. Priority Actions have been set for Year Two which will be reviewed later in 2023 and the sub-committees and SMT will be pivotal in taking forward the priority actions in a systematic way.

The review of our Strategy is essential to ensure that it is a constantly evolving document that reflects the here-and-now. It also needs to provide the overall structure and direction that the charity wishes to pursue and will include strategies for staff recruitment and retention, fundraising, developing technology and financial trajectory among others. Annual strategic reviews also help us ensure our aims, objectives and activities remain focussed on our purpose, vision and values ensure we were delivering on our priority actions, taking into account the fundamental changes taking place in the social care sector and other existential pressures.

Objectives and activities

The charity’s principal objective is to relieve the stresses experienced by carers and beneficiaries by providing a range of services that provide practical support and give the carer a break. The area of benefit is five local authority districts in the County of Gloucestershire, namely: Gloucester City Council, Cheltenham Borough Council, Cotswold District Council, Stroud District Council, and Tewkesbury Borough Council, and their environs, together with Swindon Borough Council and Wiltshire County Council, and their environs.

“Beneficiaries” means any person or people who have care needs because of disability, illness or age.

“Carers” means any person or individuals involved in the provision of care for a person or people who have care needs because of disability, illness or age.

Our mission is to provide a range of services that recognise and respond to the individual needs of family carers, and people with care and support needs, offering them peace of mind and understanding; to improve their own health and well-being by giving them time to be themselves and take a break from caring.

Our values

1. Quality: We ensure that our services are high quality, flexible, responsive and continually improving.

2. Staff: Continually investing in our staff training and development.

3. Trust: We understand that our services only respond to carers' needs when they trust us to care for the person they support.

4. Caring: All family carers and people with care needs feel recognised, valued and supported.

5. Individualised: Services that are tailored to meet the needs of individuals.

6. Respectful: Appreciating people’s differences, lifestyles and choices, and working with them to provide safe support that is meaningful and of use.

7. Understanding: Empathy as we walk alongside carers in their everyday lives.

8. Partnership Working: We actively seek collaboration and partnership with other organisations to explore joint projects and relationships.

9. Integrity: We trust, respect and value each other.

4

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

Public benefit

The trustees confirm that they have had regard to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims, objectives and in planning its activities.

The principal objective is to provide practical support to carers and those they care for by offering short breaks to relieve the stress of carers and promoting their own health and wellbeing as well as the person with care needs. This helps to ensure that the carer can continue as a carer and the person with care needs is able to stay at home for longer. To achieve this, we will:

Whilst for many normal life after the pandemic has resumed, there are still a significant number of people who are vulnerable and had concerns about resuming services from CCG. Gradually though, numbers attending our day services have increased, together with requests for carers breaks and 1:1 services.

We also recognise that we provide services to people who live in very rural areas and for those who do not have transportation we provide minibus transport to ensure people are able to access our services. The service provided by Crossroads Care Gloucestershire is available to all carers within the districts of Cheltenham, Tewkesbury, Cotswolds, Stroud and Gloucester currently.

Risk management

The board has a duty to take all reasonable steps to assess and manage risks to the charity’s activities, beneficiaries, property or reputation. A comprehensive risk register control system is in place to monitor those risks identified to which the charity is exposed, categorised as:

These categories formed the basis of the Risk Register (RR), which identifies all of the potential risks under each category, their potential impact, risk reduction measures and date of review. However, the whole landscape of risk management has changed in recent times and so the Board decided to undertake an in-depth review of the RR to ensure it adequately reflects all the known risks. To ensure that the RR remains a “living” document, risks have been allocated to individual Board members (together with members of SMT where appropriate) for clearer ownership and the RR now has a dedicated slot on the agenda of every Board meeting.

The impact of covid was still very much with us at the beginning of this financial year. The likelihood of infection was ever-present and had an impact on our staff in terms of sickness and low morale due to associated work pressures and personal circumstances. Staff recruitment was an issue across the industry and CCG found it necessary to increase pay scales twice during this year in order to remain competitive and to attract and retain staff.

5

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

There was also some hesitancy by people who had previously been our customers about the resumption of services. This made growth challenging and unpredictable as we found ourselves endeavouring to match availability of staff to the fluctuating requests for services. Meantime, the everincreasing price of energy and general cost of living was a pervasive presence.

At the same time, CCG had a decision to make – either hunker down, adopt a risk-averse approach and wait for everything to settle down, or decide to invest in our infrastructure in order to be able to stimulate demand and therefore future growth, to proactively raise our profile and become a “go to” organisation. The Board chose the latter knowing that it would need to draw on reserves to achieve its aims. This decision meant we could update our aging IT systems and employ a Service Development Lead and an Office Administrator. Since these appointments, CCG has improved its visibility in the community and established new networks which have begun to generate referrals for services and made the office a more efficient and effective centre of operations.

Trustees were always aware that some risks to the charity may arise from factors outside of our control or not of our making, as well as those risks that could be anticipated and reduced. The board of trustees consider that systems and controls that were, and remain in place to monitor, manage and mitigate the charity’s major risks remain effective.

CCG operates in a highly regulated environment, and failure to comply with regulations could lead to substantial penalties, and cancellation of our registration. This has already been mentioned as one of the key risks identified in our Risk Register. Compliance risks are mitigated through the implementation of the Care Quality Commission (CQC) standards and high levels of staff training. Comprehensive policies and procedures are in place to ensure compliance along with regular quality monitoring and appropriate action to mitigate those risks. Our Outstanding rating, awarded by CQC at our last inspection in September 2018, is evidence of our past achievements in managing risks and this ethos has continued throughout the pandemic and beyond. In the absence of conducting formal inspections, CQC has collected data and other evidence to continually assess regulated services and our Outstanding rating has continued to be applied and published in the web site.

CCG is very aware that a formal inspection may come at any time and our new Registered Manager, together with the Senior Management Team, has been conducting audits of all aspects of our regulated services and drawing up an Action Plan to address any improvements that may be needed.

Trustees were always aware that some risks to the charity may arise from factors outside of our control or not of our making, as well as those risks that could be anticipated and reduced. The Board of trustees consider that systems and controls that were, and remain in place to monitor, manage and mitigate the charity’s major risks remain effective.

Achievements and performance

As we moved into 2022-2023, we realised that our biggest challenges were to maintain and continue to secure the financial and staffing stability of the organisation so that we could meet the new and unpredictable changes coming our way. The previous year we had begun to put in place some of the infrastructure measures that would be needed to ensure we had sound foundations for the future, such as:

6

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

These building blocks allowed us to turn our attention to service delivery and setting new objectives for growth and development. We produced a new 3-year plan with Priority Actions agreed to provide structure and direction which was subject to review. These actions had to be realistic and achievable and to the credit of trustees and staff, for the most part have been successful. This list is just a glimpse of our more measurable achievements:

We remain open to the opportunities that new technologies can bring and actively engaged in the piloting of new and innovative developments that may support and improve the lives of unpaid carers and those being cared for.

As an organisation, CCG has always been aware that there are “hard-to-reach” unpaid carers out there, often lonely and isolated. As the range and reach of our activities has increased, we have been able to raise awareness of our presence, through a new website and a greater social media presence. Our contract with a PR agent has also boosted this, through articles in the local media. One such event that generated a significant amount of PR was the visit by HRH The Princess Royal to our Azalea Day Club in April 2023 who spent quality time talking to people who attend and their carers, to see how such services enable carers to get a break from their role. The visit was a huge success and the clients and carers thoroughly enjoyed having the opportunity to meet The Princess Royal.

The previous year were awarded a grant from Carers Trust to undertake a “Making Carers Count” project – specifically Working Carers. The grant is over a 2-year period and is targeted at carers who are also working. Working carers are often largely hidden and is another example of Crossroads Care Gloucestershire seeking out carers who have support needs which have not yet been recognised. The Project Lead has been active during this year liaising with employers in Gloucestershire, including ourselves, to establish the numbers of working carers out there and what employers can do to recognise and support them. Staff retention is a big issue facing employers and understanding of the needs of working carers and making small changes can mean the difference between the carer remaining in work or having to give up paid employment altogether to care for the person at home.

7

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

Underpinning all of our achievements is our workforce and their contribution. There are endless examples of where staff have gone above and beyond what might be reasonably expected of them, demonstrating their compassion and professionalism in equal measure. As with so many social care organisations, staff recruitment and retention are big challenges and CCG tries to support and value our staff as much as we realistically can, given the constraints of budgets etc. We understand that both our financial and staffing stability are intertwined, and one cannot perform successfully without the other.

Future plans

2022-2023 has been a year of evolution. CCG had already begun to respond to the changing needs of people using our services and had made changes to our internal structures accordingly. The word “building” seems to have figured quite often in this report as it is an appropriate description of what this year has all been about – building on the changes we began and investing for the years to come. Many of the longer-term plans from the previous year remain, but there are also new ambitions.

Our plans for the future include:

At the heart of everything we do remains our intention to provide the best quality service to carers and those they support, where people can be assured of receiving a prompt and tailored service to meet their needs and to keep abreast of new developments to support carers.

8

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

Financial review

The Statement of Financial Activities for the year ended 31 March 2023 shows a deficit of £132,329, leaving funds to be carried forward of £338,970.

Total income for the year increased from £864,274 to £892,871. Whilst we saw private income fall from £488,442 in 2022 to £445,897, we were pleased to see that income from our contract with People Plus for delivering Carers Breaks has increased by nearly £72,000 to £320,896. Income directly received from Gloucestershire County Council also increased nearly £16,000 to £35,541.

Expenditure increased from £925,131 to £1,025,200, largely due to increases in staffing costs, as described above and investment in new IT infrastructure.

Fundraising practices

Fundraising is carried out internally and led by the fundraising subcommittee, with CEO input. The charity currently does not employ a dedicated fundraiser. We do not engage third party professional fundraisers. Fundraising is focused on grant and trust applications and not direct fundraising from the public. The charity is registered with the Fundraising Regulator.

Investment policy

The trustees hold the charity's money in bank current accounts for immediate purposes as to ensure ease of access to working capital funding. Funds which are not immediately required are held in bank deposit accounts of up to one year maturity.

As we end the year with substantial reserves, due to the closure of its savings account, the trustees and finance sub-committee will consider moving some funds into higher interest deposit accounts as part of the regular review of investments and the investment policy.

Reserves policy

The trustees have reviewed the reserves policy of the charity. The trustees consider it is prudent to maintain the established policy of holding three months' operating cost (equivalent to ca. £250,000), which we consider as our minimum level of reserves to provide ongoing support to those receiving our services in an event of a significant delay or absence of funding and income.

Total reserves on 31 March 2023 were £338,970 of which £287,273 were unrestricted funds. Our reserves are beyond policy expectations largely due to our successful fundraising activity and infection control grant applications required to offset the increased risk to the organisation from the Covid-19 pandemic as earlier outlined in the Financial Review.

The finance sub-committee and the trustees will be reviewing the reserves policy in line with the strategic plan of the organisation. Trustees will determine how best to utilise the excess unrestricted reserves. Trustees will also consider utilising excess unrestricted reserves to fund projects and activities to further the charity’s objectives. The reserves policy will continue to be reviewed annually.

9

Crossroads Care Gloucestershire Limited

Report of the trustees

For the year ended 31 March 2023

Statement of responsibilities of the trustees

The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £5 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Auditors

Godfrey Wilson Limited were re-appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 25 September 2023 and signed on their behalf by

Sheila Reynolds

Sheila Reynolds - Chair of Trustees

10

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

Opinion

We have audited the financial statements of Crossroads Care Gloucestershire Limited (the 'charity') for the year ended 31 March 2023 which comprise the statement of financial activities, balance sheet, statement of cashflows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

11

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of the trustees

As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

12

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:

(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.

(2) We reviewed the charity’s policies and procedures in relation to:

(3) We inspected the minutes of trustee meetings.

(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.

(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.

(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.

(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:

▪Testing transactions that are unusual or outside the normal course of business.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

13

Independent auditors' report

To the members of

Crossroads Care Gloucestershire Limited

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charityʼs members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charityʼs members those matters we are required to state to them in an auditorʼs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Godfrey

Date: 5 October 2023

Alison Godfrey FCA (Senior Statutory Auditor)

For and on behalf of:

GODFREY WILSON LIMITED

Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

14

Crossroads Care Gloucestershire Limited

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2023

Restricted Unrestricted
Note
£
£
Income from:
Donations and legacies
3
80,437
9,665
Charitable activities
4
-
802,334
Investments
-
435
Total income
80,437
812,434
Expenditure on:
Raising funds
-
12,962
Charitable activities
159,245
852,993
Total expenditure
6
159,245
865,955
Net expenditure
(78,808)
(53,521)
Transfers between funds
(7,075)
7,075
Net movement in funds
7
(85,883)
(46,446)
Reconciliation of funds:
Total funds brought forward
137,580
333,719
Total funds carried forward
51,697
287,273		 2023
Total
£
90,102
802,334
435
892,871
12,962
1,012,238
1,025,200
(132,329)
-
(132,329)
471,299
338,970		 2022
Total
£
106,114
758,152
8
864,274
13,424
911,707
925,131
(60,857)
-
(60,857)
532,156
471,299

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 15 to the accounts.

15

Crossroads Care Gloucestershire Limited

Balance sheet

As at 31 March 2023

Note
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
12
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after 1 year
13
Net assets
14
Funds
15
Restricted funds
Unrestricted funds
General funds
Total charity funds		 £
126,403
280,592
406,995
(51,127)		 2023
£
20,709
355,868
376,577
(37,607)
338,970
51,697
287,273
338,970		 2022
£
9,313
127,017
435,783
562,800
(57,106)
505,694
515,007
(43,708)
471,299
137,580
333,719
471,299

These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees on 25 September 2023 and signed on their behalf by

Sheila Reynolds

Sheila Reynolds - Chair of Trustees

16

Crossroads Care Gloucestershire Limited

Statement of cash flows

For the year ended 31 March 2023

Note
Cash used in operating activities:
Net cash provided by / (used in) operating activities
16
Cash flows from investing activities:
Interest from investments
Purchase of tangible fixed assets
Proceeds from sale of tangible fixed assets
Net cash provided by / (used in) investing activities
Cash flows from financing activities:
Repayment of borrowing
Net cash provided by financing activities
Increase / (decrease) in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
17		 2023
£
(132,149)
435
(17,601)
80
(17,086)
(5,956)
(5,956)
(155,191)
435,783
280,592		 2022
£
(103,396)
8
(2,821)
-
(2,813)
(360)
(360)
(106,569)
542,352
435,783

17

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

1. Accounting policies

a) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Crossroads Care Gloucestershire Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves, the budget set for 2023/24 and performance against it so far. The charity received additional restricted funding in 2022/23 and amounts have been carried into future periods.

The charity is ahead of its unrestricted budget for 2023/24, as at Q1. There are no material uncertainties about the charity's ability to continue as a going concern.

c) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Income received in advance of provision of care is deferred until criteria for income recognition are met.

18

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

1. Accounting policies (continued)

d) Donated services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

e) Interest receivable

f) Funds accounting

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.

g) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

h) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated in full to charitable activities.

i) Termination payments

Where an employee receives a termination payment, the cost is recognised at the date that the employee is notified.

19

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

1. Accounting policies (continued)

j) Tangible fixed assets

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Fixtures and fittings 4 years straight line Computer equipment 4 years straight line Office equipment 4 years straight line

k) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

l) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

m) Creditors

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

n) Financial instruments

The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.

o) Pension costs

The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.

p) Accounting estimates and key judgements

In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

Depreciation

As described in note 1j to the financial statements, depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life.

20

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

2. Prior period comparatives: statement of financial activities

Income from:
Donations and legacies
Charitable activities
Investments
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net income / (expenditure)
and net movement in funds		 Restricted
£
£
88,040
18,074
-
758,152
-
8
88,040
776,234
-
13,424
67,052
844,655
67,052
858,079
20,988
(81,845)
Unrestricted		 2022
Total
£
106,114
758,152
8
864,274
13,424
911,707
925,131
(60,857)

3. Income from donations and legacies

Trusts and foundations
Donations
Other income
Total income from donations and legacies
Prior year comparative
Trusts and foundations
CJRS income
Donations
Total income from donations and legacies		 Restricted
£
£
59,312
-
21,125
9,590
-
75
80,437
9,665
Restricted
£
£
88,040
894
-
14,081
-
3,099
88,040
18,074
Unrestricted
Unrestricted		 2023
Total
£
59,312
30,715
75
90,102
2022
Total
£
88,934
14,081
3,099
106,114

21

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

4. Income from charitable activities

Income from charitable activities
Private contracts
Public sector contracts
Total income from charitable activities		 Restricted
£
£
-
766,793
-
35,541
-
802,334
Unrestricted		 2023
Total
£
766,793
35,541
802,334		 2022
Total
£
738,555
19,597
758,152

All income from charitable activities in the prior year was unrestricted.

5. Government grants

The charitable company receives government grants, defined as funding from Gloucestershire County Council, Gloucester City Council, and in the prior year, the Coronavirus Job Retention Scheme to fund charitable activities. The total value of such grants in the period ending 31 March 2023 was £1,195 (2022: £59,333). There are no unfulfilled conditions or contingencies attaching to these grants.

22

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

6. Total expenditure

Total expenditure
Staff costs (note 8)
Travel
Office costs
Vehicle costs
Memberships and subscriptions
IT costs
Insurance
Rent
Audit and accountancy
Miscellaneous costs
Advertising
Training
Legal and professional
Depreciation
Recruitment
Uniforms
Trustees expenses
Sub-total
Allocation of support and
governance costs
Total expenditure		 Raising
funds
£
2,093
-
-
-
-
-
-
-
-
-
10,869
-
-
-
-
-
-
12,962
-
12,962		 Charitable
activities
£
594,083
45,998
-
12,192
-
-
1,512
-
-
8,626
-
13,861
-
-
9,301
1,019
-
686,592
325,646
1,012,238		 £
176,306
1,509
42,046
-
10,566
22,450
8,128
31,888
12,680
813
-
478
9,692
6,194
1,000
-
1,896
325,646
(325,646)
-
Support and
governance
costs		 2023 Total
£
772,482
47,507
42,046
12,192
10,566
22,450
9,640
31,888
12,680
9,439
10,869
14,339
9,692
6,194
10,301
1,019
1,896
1,025,200
-
1,025,200

Total governance costs were £9,470 (2022: £6,855)

23

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

6.
Total expenditure (continued)
Prior period comparative
Staff costs (note 8)
Travel
Office costs
Vehicle costs
Memberships and subscriptions
IT costs
Insurance
Rent
Audit and accountancy
Miscellaneous costs
Advertising
Training
Legal and professional
Depreciation
Recruitment
Uniforms
Bad debt
Trustees expenses
Sub-total
Allocation of support and
governance costs
Total expenditure		 Raising
funds
£
6,378
-
-
-
-
-
-
-
-
-
7,046
-
-
-
-
-
-
-
13,424
-
13,424		 Charitable
activities
£
543,929
49,457
-
24,874
-
-
4,243
-
-
3,371
-
9,878
-
-
5,782
327
-
-
641,861
269,846
911,707		 £
132,962
497
32,374
-
8,532
19,595
8,767
27,441
15,471
1,021
-
590
11,536
2,943
7,208
-
307
602
269,846
(269,846)
-
Support and
governance
costs		 2022 Total
£
683,269
49,954
32,374
24,874
8,532
19,595
13,010
27,441
15,471
4,392
7,046
10,468
11,536
2,943
12,990
327
307
602
925,131
-
925,131

24

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

7. Net movement in funds

This is stated after charging:

Depreciation
Operating lease payments
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration:
Statutory audit (excluding VAT)
Other services (excluding VAT)		 2023
£
6,194
29,965
Nil
1,896
6,300
4,853		 2022
£
2,943
45,915
Nil
602
5,200
8,841

Trustees expenses representing travel and training costs amounting to £1,896 were paid in the year (2022: £602).

8. Staff costs and numbers

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs		 2023
£
703,253
55,472
13,757
772,482		 2022
£
626,920
44,420
11,929
683,269

One employee earned between £60,000 and £70,000 during the current and prior year.

The key management personnel of the charitable company comprise the Trustees, Chief Executive Officer and Senior Management. The total employee benefits of the key management personnel were £170,574 (2022: £147,439).

Average head count 2023
No.
36		 2022
No.
32

9. Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

25

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

10. Tangible fixed assets

Cost
At 1 April 2022
Additions in year
Disposals in year
At 31 March 2023
Depreciation
At 1 April 2022
Charge for the year
Disposals in year
At 31 March 2023
Net book value
At 31 March 2023
At 31 March 2022
11. Debtors
Trade debtors
Prepayments
Other debtors
12. Creditors: amounts due within 1 year
Bounce back loan
Trade creditors
Other taxation and social security
Accruals
Other creditors		 £
1,045
-
(275)
770
960
51
(264)
747
23
85
Fixtures and
fittings		 £
18,984
17,601
-
36,585
11,790
5,403
-
17,193
19,392
7,194
Computer
equipment		 £
2,959
-
-
2,959
925
740
-
1,665
1,294
2,034
2023
£
98,553
13,519
14,331
126,403
2023
£
6,077
11,000
15,900
15,383
2,767
51,127
Office
equipment		 Total
£
22,988
17,601
(275)
40,314
13,675
6,194
(264)
19,605
20,709
9,313
2022
£
105,581
2,988
18,448
127,017
2022
£
5,932
8,321
10,842
26,901
5,110
57,106

26

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

13. Creditors: amounts due after 1 year

Creditors: amounts due after 1 year
Bounce back loan
Analysis of debt maturity
Amounts payable:
In less than one year
In 1 - 2 years
In 2 - 5 years
More than 5 years		 2023
£
37,607
2023
£
6,077
6,229
19,635
11,743
43,684		 2022
£
43,708
2022
£
5,932
5,932
19,154
18,622
49,640

Loans comprise an unsecured bounce back loan received from Barclays, to help mitigate the effects of Covid-19 on the organisation. Interest is payable at a rate of 2.5% from July 2021. The term of the loan has been extended from 5 years to 10 years.

14. Analysis of net assets between funds

Tangible fixed assets
Current assets
Current liabilities
Non-current liabilities
Net assets at 31 March 2023
Prior period comparative
Tangible fixed assets
Current assets
Current liabilities
Non-current liabilities
Net assets at 31 March 2022		 £
-
51,697
-
-
51,697
£
-
137,580
-
-
137,580
Restricted
funds
Restricted
funds		 £
20,709
355,298
(51,127)
(37,607)
287,273
£
9,313
425,220
(57,106)
(43,708)
333,719
Unrestricted
funds
Unrestricted
funds		 Total
funds
£
20,709
406,995
(51,127)
(37,607)
338,970
Total
funds
£
9,313
562,800
(57,106)
(43,708)
471,299

27

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

15. Movements in funds

Movements in funds
Restricted funds
Barclays
GCF Legacy Fund
GCC Infection Control
CCG Workforce Retention
Nationwide
Carers Trust
Nationwide Day Clubs Fund
Omicron Support Fund
SJP IT Fund
Tesco Day Club
Thriving Communities 2023
Total restricted funds
Total unrestricted funds
Total funds
Prior period comparative
Restricted funds
Barclays
GCF Legacy Fund
GCC Infection Control
GCC Thriving Communities
CCG Workforce Retention
Nationwide
Carers Trust
Total restricted funds
Total unrestricted funds
Total funds		 At 1 April
2022
£
76,656
7,980
3,215
9,397
9,924
30,408
-
-
-
-
-
137,580
333,719
471,299
At 1 April
2021
£
99,217
9,875
-
7,500
-
-
-
116,592
415,564
532,156		 Income
£
-
-
47
-
-
58,116
10,000
1,149
2,500
1,125
7,500
80,437
812,434
892,871
Income
£
-
-
31,523
-
13,729
9,924
32,864
88,040
776,234
864,274		 £
(76,656)
(7,980)
(3,262)
(9,397)
(2,849)
(54,327)
-
(1,149)
(2,500)
(1,125)
-
(159,245)
(865,955)
(1,025,200)
£
(22,561)
(1,895)
(28,308)
(7,500)
(4,332)
-
(2,456)
(67,052)
(858,079)
(925,131)
Expenditure
Expenditure		 £
£
-
-
-
-
-
-
-
-
(7,075)
-
-
34,197
-
10,000
-
-
-
-
-
-
-
7,500
(7,075)
51,697
7,075
287,273
-
338,970
£
£
-
76,656
-
7,980
-
3,215
-
-
-
9,397
-
9,924
-
30,408
-
137,580
-
333,719
-
471,299
At 31 March
2023
At 31 March
2022
Transfers
between
funds
Transfers
between
funds
137,580
333,719
471,299

28

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

15. Movements in funds (continued) Purposes of restricted funds

Barclays To support family carers and those they care for who live at home by giving carers a break from their caring role. GCF Legacy Fund To provide support for carers to prepare and plan for a time when their caring responsibilities end, and provide support to move on after their caring role ends.

GCC Infection Control To support adult social care providers to reduce the rate of Covid-19 transmission and support wider workforce resilience.

CCG Workforce Retention To support and boost adult social care workforce capacity pressures by enabling providers to make bonus payments to each eligible employee in recognition of their contribution during the period of the Covid-19 pandemic.

Nationwide Grants are decided by Nationwide’s Community Boards, which are comprised of colleagues and members. All projects that were successful in being awarded a Community Grant met one of three social priorities:

Our grant was used to support activities at our day clubs for older people and for us to purchase a OMI interactive table.

Carers Trust The purpose of the funding is to deliver a project which addresses the barriers, challenges and needs experienced by under-represented groups of unpaid carers in our area of Gloucestershire. The underrepresented group of carers we chose to support with this funding was Working Carers. Nationwide Day Clubs Fund The funding will be used to support the initial costs of reopening the day clubs following Covid. At the start of opening a club the costs are higher as the numbers of people attending increases. The funding will be used to support staff, activities, venue and transportation costs.

Omicron Support Fund In recognition of the increased pressure on existing funding sources caused by the Omicron variant the DoHSC awarded providers of social care with this grant to help towards many different costs but included maintaining staffing levels and workforce capacity and ensuring staff who were isolating receive their normal wages.

SJP IT Fund Funding of £2,500 will be used to purchase tablets to improve digital inclusion for our clients and to support better care provision, freeing up more time to spend with people we support and reduce the need for paperwork.

29

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

15. Movements in funds (continued) Purposes of restricted funds Tesco Day Club The

The £1,125 grant from Tesco is specifically for the purposes of the Azalea Day Club to help support costs in relation to this.

Thriving Communities 2023

The grant funding will be used to pay for transportation costs to help people to access the day clubs. This will include minibus lease costs and a proportion of fuel and insurance costs over 12 months.

Transfers

Transfers out of restricted funds represent capital purchases made using the restricted funding.

16. Reconciliation of net movement in funds to net cash flow from operating activities

Net movement in funds
Adjustments for:
Depreciation charges
Interest from investments
Gain on disposal of tangible fixed assets
Decrease / (increase) in debtors
Increase / (decrease) in creditors
Net cash provided by / (used in) operating activities		 2023
£
(132,329)
6,194
(435)
(69)
614
(6,124)
(132,149)		 2022
£
(60,857)
2,943
(8)
-
(52,861)
7,387
(103,396)

17. Analysis of changes in net debt

Cash
Loans falling due within 1 year
Loans falling due after 1 year
Total		 At 1 April
2022
£
£
£
435,783
(155,191)
280,592
(5,932)
(145)
(6,077)
(43,708)
6,101
(37,607)
386,143
(149,235)
236,908
At 31 March
2023
Cash flows		 At 1 April
2022
£
£
£
435,783
(155,191)
280,592
(5,932)
(145)
(6,077)
(43,708)
6,101
(37,607)
386,143
(149,235)
236,908
At 31 March
2023
Cash flows
236,908

18. Operating lease commitments

The charity had operating leases at the year end with total future minimum lease payments as follows:

Amount falling due:
Within 1 year
Within 1 - 5 years		 2023
£
27,077
58,292
85,369		 2022
£
26,858
77,635
104,493

30

Crossroads Care Gloucestershire Limited

Notes to the financial statements

For the year ended 31 March 2023

19. Related party transactions

There were no related party transactions in the current or prior year.

31